Fin24 reports that the SA Revenue Service (SARS) has responded to union demands for a CPI plus 7% wage increase by indicating that, while it could not afford to pay such a wage hike, it was open to making funds available to its bargaining unit employees from its 'savings' in 2021.

It did not specify the details of its proposed new offer. This came after the Public Servants Association (PSA) and the National Education, Health, and Allied Workers' Union (Nehawu) each declared a dispute at the tax collection agency and served SARS with a notice of intention to strike. In a statement, SARS Commissioner Edward Kieswetter said even though the National Treasury had made no provisions in its allocation to the tax body for wage increases, SARS did its "due diligence" to make funds available to employees represented in the bargaining unit. "I am pleased that under difficult conditions we are able to provide some financial relief to our employees. I also remind our employees that we are inordinately privileged to have employment security at a time when so many are unemployed and financially destitute," Kieswetter indicated. PSA spokesperson Reuben Maleka said the union had begun picketing on Monday. He also advised that labour would meet with Kieswetter that evening to discuss the offer to convert savings into a form of financial support for staff, and how that would affect take-home pay. If the deadlock is not broken, the PSA is expected to commence with a full-blown strike on Wednesday.

• Read the full original of the report in the above regard by Khulekani Magubane at Fin24

Get other news reports at the SA Labour News home page